summary
Introduced
04/20/2016
04/20/2016
In Committee
04/20/2016
04/20/2016
Crossed Over
Passed
Dead
01/03/2017
01/03/2017
Introduced Session
114th Congress
Bill Summary
Promoting Value Based Defense Procurement Act of 2016 This bill directs the Department of Defense (DOD) to revise the Defense Federal Acquisition Regulation Supplement to require that Lowest Price Technically Acceptable source selection criteria are used for new solicitations (solicitations issued starting 120 days after enactment of this bill) only in situations in which: DOD is able to clearly describe the minimum requirements expressed in terms of performance objectives, measures, and standards that will be used to determine offer acceptability; DOD would realize no, or minimal, value from a contract proposal exceeding minimum technical or performance requirements; the proposed technical approaches will require no, or minimal, subjective judgment of competing proposals; a review of technical proposals other than the lowest bidder's would result in no, or minimal, benefit to DOD; and the contracting officer has included a justification for the use of LPTA evaluation methodology if the contract is predominately for the acquisition of information technology services, systems engineering and technical assistance services, or other knowledge-based professional services. LPTA source selection criteria shall be avoided when the procurement is predominately for the acquisition of information technology services, systems engineering and technical assistance services, or other knowledge-based professional services.
AI Summary
This bill, the Promoting Value Based Defense Procurement Act of 2016, directs the Department of Defense (DOD) to update its procurement regulations, specifically the Defense Federal Acquisition Regulation Supplement (DFARS), to limit the use of "Lowest Price Technically Acceptable" (LPTA) source selection criteria for new contracts issued 120 days after the bill becomes law. LPTA is a method where the contract is awarded to the lowest-priced offer that meets the minimum technical requirements, without considering potential benefits from proposals that exceed these minimums. The bill mandates that LPTA can only be used when the DOD can clearly define minimum performance requirements, when exceeding these minimums offers no significant value, when evaluating proposals requires minimal subjective judgment, and when reviewing proposals beyond the lowest bidder would provide little benefit. Crucially, the bill requires a written justification for using LPTA when acquiring information technology, systems engineering and technical assistance, or other knowledge-based professional services, and generally advises against using LPTA for these types of procurements to ensure the DOD benefits from both cost and technical advantages. The Secretary of Defense will also be required to report annually for three years on the use of LPTA and how the new criteria were considered.
Committee Categories
Military Affairs and Security
Sponsors (3)
Last Action
Read twice and referred to the Committee on Armed Services. (on 04/20/2016)
Official Document
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